Where do we stand in the theory of finance? : a selective overview with reference to Erich Gutenberg

For the past 20 years, financial markets research has concerned itself with issues related to the evaluation and management of financial securities in efficient capital markets and with issues of management control in incomplete markets. The following selective overview focuses on key aspects of the theory and empirical experience of management control under conditions of asymmetric information. The objective is examine the validity of the recently advanced hypothesis on the myths of corporate control. The present overview is based on Gutenberg's position that there exists a discrete corporate interest, as distinct from and separate from the interests of the shareholders or other stakeholders. In the third volume of Grundlagen der BWL: Die Finanzen, published in 1969, this position of Gutenberg's is coupled with an appeal for a so-called financial equilibrium to be maintained. Not until recently have models grounded in capital market theory been developed which also allow for a firm's management to exercise autonomy vis-à-vis its stakeholder. This paper was prepared for the Erich Gutenberg centenary conference on December 12 and 13, 1997 in Cologne

Alimony: What Social Science and Popular Culture Tell Us About Women, Guilt, and Spousal Support After Divorce

Over the past few decades, fewer divorcing women have received alimony, and when alimony awards are made, they are in declining amounts and for shorter periods of time. Conventional explanations of this trend focus on legal changes that have made divorces easier to obtain, as well as social changes that have led to larger numbers of married women in the paid workforce, and to greater social tolerance of divorce. Certainly these changes partly explain the downward trend in alimony, but they do not fully explain why alimony awards continue to decline, even among women who do not have viable job skills at the time of divorce and who experience severe post-divorce financial hardship. This article looks to the women themselves and uses social science research to examine gender differences in emotional reactions to marriage and divorce. The article argues that women\u27s tendency to assume emotional responsibility for the success of the marriage and parenting, and in particular women’s greater susceptibility to feelings of guilt and shame about divorce and parenting, make it difficult for many women to successfully negotiate for alimony. Further, the article looks at women\u27s feelings and behaviors in negotiation situations, arguing that social pressures exacerbate the feelings of guilt over the divorce and lead women to accept unfavorable outcomes. Ultimately, this article concludes that the legal system may need to impose solutions, such as mandatory pre-nuptial agreements or alimony formulas, in order to achieve a degree of predictability and fairness in alimony outcomes

FROM FINANCIAL PERFORMANCE FOR SHAREHOLDERS TO GLOBAL PERFORMANCE FOR STAKEHOLDERS

The global business environment (at every of its levels and by any of its forms) is more and more competitive and challenging for firms nowadays. On the other hand, firms themselves exercise a growing pressure and influence over the society (by their economic, social and environmental – wanted or not – outputs/effects). There is no doubt about those facts. Under these circumstances, new theories and practices emerged, in order to bring together and make long term peace between firms/businesses and society (as a whole and considering each part and category of it as well). Stakeholders’ theory and corporate responsibility theory come into discussion when we talk about business cooperation and sustainable development, according with the future generations best interests. As a result, together with the new theory and philosophy of the firm, we (and firm management) must consider a new paradigm when measuring corporate performance: the transition form shareholders to stakeholders brings with it the transition from financial reporting to social reporting, in order for firms and their management to be able to manage and measure global firm performance (financial, as well as social and environmental, in the idea to positively answer to all the interests stakeholders have – a request of doing well by doing good). By this paper, we would like to analyze how the transition from satisfying shareholders interests theory to satisfying stakeholders interests’ theory changes the way management seeks for and measures corporate performance, and how this shift is perceived. In order to do this, we will bring together the Most Profitable Fortune Global 500 versus 100 Most Sustainable Corporations in the World and will analyze: the correlation between financial performance and social performance; the measure these two kinds of performance leverage each other – in order to achieve global corporate performance by satisfying all kind of stakeholders’ interests.global corporate performance, financial performance, social performance, stakeholders

History, College of Medicine: 1959-1968. Chapter 16: Department of Physiological Chemistry

Prepared for the Centennial of The Ohio State University